Here is a list of helpful tips to ensure an effortless loan process. These DO’s and DON’Ts will help avoid any delays with your loan approval.

DO continue making your mortgage or rent payments

DO stay current on all existing accounts

DO keep working at your current employer

DO keep your same insurance company

DO continue living at your current residence

DO continue to use your credit as normal

DON’T make cash deposits.

DON’T make a major purchase (car, boat, fur, jewelry, etc.)

DON’T apply for new credit (even if you seem pre-approved)

DON’T open a new credit card

DON’T transfer any balances from one account to another

DON’T pay off charge offs without a discussion with your lender

DON’T pay off collections without a discussion with your lender

DON’T buy any furniture

DON’T close any credit card accounts

DON’T change bank accounts

DON’T max out or over charge on your credit card accounts

DON’T consolidate your debt onto 1 or 2 credit cards

DON’T take out a new loan DON’T start any home improvement projects

DON’T open a new cellular phone account DON’T join a new fitness club

DON’T pay off any loans or credit cards without discussing it your lender

TIPS TO IMPROVE YOUR CREDIT SCORE:

Tip #1: Keep all your credit balances below 50% (30% is optimal) of available credit limit. Your credit score could lose as much as 30-60 points if your credit cards are maxed out, even if you are paying them on time.

Tip #2: It is not okay to max out your credit cards even if you pay the balance in full every month. The credit bureaus only report the high balance and it will adversely affect your credit score.

Tip #3: Never close an old account. Part of your credit score is based on how long you have established credit. Therefore, if you close an older credit card (perhaps because you have a card with a lower rate) you will decrease your FICO score.

Tip #4: Intermittently use all of your credit cards as they will become inactive and cancelled by the credit card company or not reported to the credit bureaus because of inactivity.

Tip #5: If you have no open trade lines you will have a credit score of N/A. This is not good. You should have, at a minimum, 3 open trade lines at all times.

Tip #6: A Secured Credit Card can help you build credit. For more information, CLICK HERE to see a list of secured cards.

Tip #7: You may boost your credit score by opting out of the pre-screened credit offers you receive in the mail. Go to http://www.optoutprescreen.com and opt out for 5 years.

Tip #8: If you are planning to get a loan in the next few months, do NOT try to open any new accounts or get any new credit cards.

Tip #9: Never pay 30 days late on an open account. One 30 day late payment will drop your credit score 100 points OVERNIGHT! This takes at least 12 months to recover from.

Tip #10: Do NOT pay off collections that are over 24 months old. This will update the DLA and it will end up lowering your credit score. DO pay off anything that has come on in the last 24 months. This will improve your credit score.